KARACHI: Pakistani e-commerce giant, Daraz Group, which is owned by China’s multinational conglomerate Alibaba, has announced further layoffs “for a more streamlined and agile structure” a year after saying it was slashing 11 percent of its workforce due to difficult market conditions triggered by the Ukraine crisis.

Daraz was founded in 2012 in Pakistan as an online fashion retailer before becoming a leading e-commerce platform in South Asia. It provided end-to-end solutions and emerged as the top online shopping app in Pakistan before its acquisition by Chinese Internet giant Alibaba in 2018.

The company’s acting chief executive officer, James Dong, issued an internal memo on Tuesday, telling the employees the downsizing decision “was taken as a last resort.”

“Over the past couple of years, we have worked to manage costs and improve operational efficiency substantially,” he said. “Despite our efforts to explore different solutions, our cost structure continues to fall short of our financial targets. Facing unprecedented challenges in the market, we must take swift action to ensure our company’s long-term sustainability and continued growth.”

He announced the company planned to proactively improve the consumer experience by diversifying its offerings of value-for-money products and expanding its product categories.

“We remain passionate and ambitious about South Asia, and are committed to maintaining our regional presence in order to continue contributing to its digital transformation,” he added.

Daraz not only provide e-commerce services but also generate much business in the logical sector. According to its management, it has more than 30 million shoppers, 200,000 active sellers and over 100,000 brands.